Courtesy of Kevin Mcaleavey, SYSOP, The Big Experiment, Albany, N.Y.
TBE MAGAZINE: SERIOUS TROUBLE IN MODEMVILLE by Alan R. Bechtold
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NOTE: This article was provided by P&P BBS as "BBSWARNG.TXT"...
This is provided for the information of ALL BBS users. As you can see it
is copyrighted. Please DO NOT remove this copyright notice as you distrubute
it to others. This is a VERY serious issue for BBSs in this country, and we
don't need anymore legal problems than are already developing....
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\\ MMMM // INFO-MAT MAGAZINE
\\\ MM /// TABLE OF CONTENTS:
\\\\MM//// Vol. 3, No. 39
\\ \MM/ // Dec. 15, 1987
\\ MMMM // Whole #135
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Copyright (C) 1987, by BBS PRESS SERVICE, ***********C*
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THE EDITOR SPEAKS:
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by Alan R. Bechtold
"Serious Trouble in ModemVille"
There is a serious problem for BBS users and sysops. It could be devastating
for the development of BBSing as an industry and it is happening now.
The problem is the way many telephone companies define a "business line" for
determining the charges they levy for telephone service.
Steven "Merlyn" Kamradt, sysop of MERLYNS RAINBOW, a 2AM-BBS in Florida, is
facing this problem with his local telephone company right now. A LOT more
are facing the same problem all over the country as I write. ALL sysops could
be facing a similar situation if something isn't done to stop the tide now.
Kamradt contacted his phone company about a month ago about a problem he was
having with his service. The conversation which ensued evidently "tipped off"
the phone company that Kamradt was running a BBS on the phone line in
question. The monthly charge for his BBS line was then IMMEDIATELY raised to
$50 a month, the going monthly rate for a standard business telephone line.
At first, he was told that his rates were going up because of "FCC regulations
governing telephone charges for data services."
Kamradt discovered, after HOURS of discussion with telephone company
officials, that he was ACTUALLY being charged business phone rates for his BBS
line because the telephone number for his board had been "advertised" on other
BBSs in the area! Furthermore, he also found there was a strong possibility
of being taken to court for BACK PAYMENT of business phone rates that were
deemed to be owed from past operation of his board.
The local telephone company in his area considers ANY advertised telephone
number immediately subject to full business monthly rates. They apparently
don't care whether the advertisement was PAID or free, was placed by the user
of the line, or by someone else.
Kamradt discussed the matter with an attorney. In a message, Kamradt later
posted on his system for his users to read, he had this to say about what he
learned: "If you advertise or advertising is done for you with or without your
consent, then you are considered a business in the eyes of the law, and thus,
if GTE wants to force you to pay business rates for a line, you must do so."
Legally, Kamradt explained, this means that any sysop who has the telephone
number of his BBS posted on another board, whether the sysop posted it there
or another user did, is liable for payment of full business rates for his or
her telephone lines to operate the system.
His attorney explained that, legally, it would be up to him to sue the
bulletin board operators who posted his system's phone number without his
permission if he wanted to recoup the additional cost of business lines as a
result of those postings.
"Thus, the lawsuits will go flying and sysops will turn against sysops,"
Kamradt said, "something I DON'T WANT TO SEE!"
"This is not going to hurt the sysops as much as it will the mass of BBSers
out there," he continued. "BBSs will be dropping like flies, and very soon
that modem that you paid top dollar for will be basically useless...UNLESS you
want to pay more HIGH PRICES for a service like GENIE or COMPUSERVE, which
offer their services based on a very steep hourly charge."
He's not exaggerating, folks.
Such policies are a very serious threat to the development of BBSing as an
industry.
It's not wrong for a telephone company to generate excess rates from a
BUSINESS. It IS wrong for them to arbitrarily hang the title of BUSINESS on a
BBS when the criteria for reaching that conclusion are faulty, or if they are
not necessarily under the control of the person in question.
In short, you can't call a BBS a business just because the phone number to the
system is posted on other systems. A LIST of bulletin board numbers is not an
ADVERTISEMENT. One of Kamradt's BBS users pointed out that, under the local
telephone company's definition, everyone listed in the WHITE PAGES of the
local phone book has an "advertised" number!
Consequently, his telephone company's criteria for determining who should pay
business rates is faulty from the start--unless it is ARBITRARILY enforced.
It's also ECONOMICALLY flawed.
Kamradt's BBS is NOT a business. He offers access to the system free of charge
after online verification. The only money he takes in is a small periodic
charge for access to EXTENDED time on the system. The fees hardly cover the
cost of the multiple computers, software, and man-hours required to operate
the system.
His BBS is more like a computer user's club. It's non-profit--by everyone's
standards but the phone company's.
Because Kamradt makes little money from the operation of his BBS, he won't be
able to pay the additional monthly charges proposed by his phone company. His
board will go down. The phone company will lose the revenue they were getting
from the line he paid for at the NON-BUSINESS rate!
Kamradt WAS planning to put in a second line soon, too. If he takes his system
off-line, his phone company will also lose THAT potential revenue.
Three out of four of the OTHER BBSs in the area won't be able to afford the
higher rates, either.
Even if the local phone company's monthly charge for a business line is FOUR
TIMES that of residence rates, the BEST they could hope for from the one out
of four BBSs that would remain would be a break-even situation on revenues
from the boards that could afford to stay online.
It's also a known fact that many avid BBS users put in SECOND residence lines,
just so they can be online without tying up the family voice line. These
second lines also represent additional revenue for the phone company.
Take away the number of local systems that consumers can call and a LOT of BBS
USERS will no longer see the need to keep a second line installed in their
homes, resulting in MORE lost revenue for the phone company.
If this is the case, why do phone companies persist with this approach to
BBSs?
I think, partly, it is BECAUSE they are closed-minded. They are failing to see
that the successful "hobby" BBS of today will BECOME the BUSINESS BBS of
tomorrow, CAPABLE of paying full business rates for their phone lines and
willing to do so. Instead, they want their money NOW from all existing BBSs,
regardless of the consequences.
There is also another possible method to the phone company's madness. One
that is a lot more insidious than closed-mindedness.
Perhaps THEIR vision of the future of data delivery to the home is DIFFERENT
than ours.
Consider this:
The Baby Bells are already pressing HARD for the right to get into the
information services industry themselves. They see big profits in using their
existing local networks to deliver computer data and information. It's
possible they see the BBS industry as a potential threat to their plans to
deliver THEIR OWN more expensive data services to consumers.
If this is indeed the case, this move would make sense. It wouldn't make it
RIGHT, but it would make sense.
Either way, it must be STOPPED. NOW.
At this time, Kamradt has agreed to pay the new higher phone bill in return
for the company's agreement not to press for back bills. But the battle isn't
over and it could involve more sysops in that area and others soon.
First and foremost, you need to let Kamradt's phone company and the local
officials who regulate it know how you feel about the move. You can do that
by writing a letter explaining who you are, why you use BBSs, why you feel
they should or should not be charged business rates and when you think they
SHOULD be charged business rates.
If possible, also point out how the move does NOT make economic sense, and the
possible anti-competitive undertones that are inherent in it. If you have an
additional phone line in your home primarily for accessing data services,
point that out.
If the availability of FEWER services to access would honestly make you pull
that line, don't be afraid to point that out. If you don't have a second line
now but have considered it, also don't hesitate to point out that you would be
much less inclined to additional lines if there were fewer BBS's.
Then, sign your letter, include your name, and your telepone number, and send
it to Neil Clarke, who is one of the authors of 2AM-BBS.
Neil Clarke
2AM Associates
59 Murphy Circle
Florham Park, NJ 07932
OR you can also arrange for access to the Drew University Underground, another
area 2AM BBS, at any of the following numbers:
201-377-8192
201-377-8245
201-377-7861
201-377-6810
201-377-4538
Clarke has promised that all letters mailed to him or left on the above system
will get to Kamradt or to wherever they decide will do the most good.
Let's get a BUNCH of letters out there NOW!
Also, it would be much easier for us to fight similar battles elsewhere, and
related battles, locally, regionally and nationally, if there were a TRUE
nationwide sysops' and BBS users' association to fight them.
There are already a large number of local and regional sysop and modem users'
groups. All we need to do is bring them all together under one umbrella, then
expand availability to ALL cities and ALL areas, and we'd have it.
So -- if you are a member or leader in an existing group, write me. Let me
know who you are and what you do. Also let me know what you would want a
national organization to do and how you would like to see it operated. If you
would LIKE to join such a group or could help get one rolling I want to hear
from you, too.
Together, we can protect the interests of all the Kamradts out there, and take
on future battles as they occur.
Let me know how you feel about this week's topic, too.
Write me at:
BBS PRESS SERVICE, INC.
8125 SW 21st Street
Topeka, KS 66615
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WE WANT TO HEAR FROM YOU! Respond to this week's topic or let us hear what
you think about an entirely new one. To send us your Letter to the Editor,
leave a message on this BPS Affiliate BBS, addressed to INFO-MAT Editor, and
let the SYSOP know there is a message for us you would like to have forwarded.
OR -- send us your letter, addressed to: LETTERS TO THE EDITOR, INFO-MAT
MAGAZINE, 8125 S.W. 21st Street, Topeka, KS 66615.
-- THE EDITOR SPEAKS --
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